Controversies
VoIP ban
The United Arab Emirates blocks many popular voice over IP services like Skype. The only licensed VoIP services is BOTIM and GO CHAT, which are both operated by Etisalat.
BlackBerry controversy
In July 2009, Etisalat pushed an update to BlackBerry devices operating on the telecom's national network, citing performance improvements. However, it was later discovered that the update contained eavesdropping software, developed by the US-based software development company SS8, which specializes in electronic surveillance. It is reported that the software enabled the company to monitor and forward communications on BlackBerry devices to their servers. Research in Motion, BlackBerry's developer, acknowledged that the patch was a form of spyware, and issued a removal patch on 20 July.
On 27 December 2009, both Etisalat and du have been mandated by the UAE telecom regulator to start filtering BlackBerry users' web access and block illegal content. Due to concerns with the security and the provisioning of legal interception for Blackberry non-voice services, on 1 August 2010, the Telecommunication Regularity Authority of the UAE instructed Etisalat that all Blackberry e-mail, internet and messenger functions must be suspended on 1 October 2010. However, an agreement between Blackberry's developer Research in Motion and UAE's telecom regulator has been reached, and the announced BlackBerry services suspension has been canceled.
Etisalat Iran
In January 2009 Etisalat in consortium with Tamin Telecom (a subsidiary of the Iranian Social Security Organization (SSO)) won the bid for running the third mobile services operator in the Islamic Republic of Iran. The license included an exclusive two-year agreement for 3G services provisioning, but in Sep 2009 the license was revoked and given to its local partner, Tamin Telecom.
Etisalat had planned to invest over $5 billion ( 18.39 billion) over a period of five years, but following the license suspension all plans for launching operations in Iran have been put on hold.
Etisalat India
In 2009, Etisalat announced that its Indian unit, erstwhile Swan Telecom (owned by Dynamix Balwas Realty and Reliance Communications), headquartered in Mumbai, is renamed to Etisalat DB Telecom India Pvt. Ltd. The business unit has been awarded Unified Services Access License in 15 telecom circles (Andhra Pradesh, Delhi, Gujarat, Haryana, Karnataka, Kerala, Maharashtra, Mumbai, Punjab, Rajasthan, Tamil Nadu (including Chennai), Uttar Pradesh (East), Uttar Pradesh (West), Madhya Pradesh and Bihar). The brand name was "Cheers Mobile".
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In April 2010, Etisalat began signal testing in Chennai [IND 922], Delhi & NCR [IND 913], Maharashtra & Goa [IND 919], Mumbai [IND 916], and Gujarat [IND 914]. In May 2010, Etisalat was in talks to buy a 25% stake in Reliance Communications, but the deal was not finalised.
In 2010, following the billion 2G spectrum case, Etisalat DB, the Indian subsidiary of the company, was stopped from buying a stake in a Chennai-based company due to objections raised by the Ministry of Home Affairs (MHA). Etisalat DB was not allowed to buy back the 5.27% stake held by Chennai-based Genex Exim Ventures since the home ministry raised objections based largely on security concerns.
It raised objections about Etisalat's presence in Pakistan and its connection with Pakistan's intelligence agency ISI. Etisalat owns a 26% stake in Pakistan Telecommunications and has a subscriber base of 3 million in Afghanistan. The MHA has also expressed concerns about the telecom surveillance software Etisalat had used in a Blackberry service it had introduced in the UAE and recommended that the company should not be allowed to offer Blackberry services in India.
On 22 February 2012, Etisalat announced that it will cease operations in India post-cancellation of its licenses by the Supreme Court of India. It issued notice to its subscribers, giving them 30 days to change operators. On 5 September 2012, Etisalat announced that it would not bid for spectrum in the November 2012 2G spectrum auction. In a released statement the company said, "Etisalat Group has decided not to participate in the auction as it is not willing to re-participate after being canceled its owned licenses. Following the publication by the Department of Telecomm (DoT) – India’s Ministry of Communications and Information Technology of the information memorandum for the planned auction of spectrum in 1800 MHz and 800 MHz bands, the Emirates Telecommunications Corporation (Etisalat) wishes to confirm that it has decided not to participate in the auction".
